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Awards/COOPERATIVE AGREEMENT (B)

$95,000,000

Department of Energy·Department of Energy

to DELEK US HOLDINGS, INC

energyactiveONGOING · MOD OF 2024 CONTRACT
WORK BEGAN2024-11-18·LATEST ACTION2026-04-22·SOURCEUSASPENDING·SOURCE IDASST_NON_DECD0000053_089
Award description

CARBON CAPTURE PILOT AT BIG SPRING REFINERY THE OBJECTIVES OF THIS PROJECT ARE TO DESIGN AND BUILD A LARGE-SCALE PILOT WHICH WILL CAPTURE 145,000 TPY OF CO2 FROM A FLUID CATALYTIC CRACKING UNIT STACK AT DELEK’S BIG SPRING, TX INDUSTRIAL REFINERY USING SVANTE’S POST-COMBUSTION CAPTURE SORBENT WITH A ROTATING ADSORPTION MACHINE. OFFTAKE PLANS ARE TO TRANSPORT AND SEQUESTER VIA KINDER-MORGAN'S PIPELINE SYSTEM TO A CLASS VI WELL TO QUALIFY FOR THE 45Q CREDIT. APPLICANT HAS INTENTION TO: 1) EXPAND TO 10 FLUE GAS SOURCES ACCOUNTING FOR 95% OF FACILITY’S FLUE GAS WITH TOTAL CAPTURE OF 730,000 (METRIC) TPY OF CO2, 2) REDUCE SOX EMISSIONS BY 550 TPY AND PM BY 100 TPY, 3) REDUCE OPEX UP TO 30% AND REDUCE CAPEX UP TO 5%, 4) CREATE ~400 CONSTRUCTION JOBS OVER 18 MONTHS, PAID ~ $55 PER HOUR, (4) WORK WITH COMMUNITY PARTNERS (USW & IUOE) TO ESTABLISH A CARBON CAPTURE SCHOOLHOUSE DESIGNED TO TRAIN LOCAL UNION MEMBERS ON CCUS CURRICULUM AND RELEVANT SKILLS; AND (5) EXPAND DELEK’S SKILLED O&M WORKFORCE TO CCUS.

Verbatim from USAspending.gov. Capitalization, abbreviations, and codes are unchanged.

The Buildout's read

What the model surfaced from this award

Confidence: high
In plain English

Fund design and construction of a large-scale carbon capture pilot at Delek's Big Spring refinery to capture 145,000 tons of CO2 annually from fluid catalytic cracking units.

Sub-sectors
carbon-capture-utilization-storagerefinery-emissions-reduction45q-tax-credit
Why this matters

Demonstrates commercial viability of post-combustion carbon capture at scale, supporting U.S. climate goals and the 45Q tax credit framework for industrial decarbonization.

Supply-chain signal

Creates demand for Svante's sorbent technology, Kinder-Morgan pipeline capacity, and Class VI well sequestration services; signals growth in CCUS supply chain infrastructure.

U.S.–China competition angle

U.S. investment in industrial carbon capture technology and workforce development positions domestic CCUS industry against potential Chinese competition in emerging climate-tech markets.

Generated by award_classification v2.0.0 via claude-haiku-4-5-20251001 on 2026-05-15. Cost: $0.002865.

Period of performance
Start
2024-11-18
End
2031-05-17
Status
activein 1826 days
Sources

The Buildout does not edit federal records. Any inaccuracy reflects the upstream source; it will update here when corrected there.